President Trump sets the 2018 Mid-Term priority. Excellent. “I don’t care what the political ramifications are.” … “Border Security is National Security, and National Security is the long-term viability of our Country.” Yes, indeed, yes it is.
Tag Archives: Hunt for Taxes
Canadian Business Analyst: Trudeau Intentionally Sinking Canadian Economy for Anti-Trump Political Benefit…
Several days ago I noticed a well-connected Canadian business analyst, Manny Montenegrino, had a considerable assembly of facts, examples, data-points and details to support his proposition that Canadian Prime Minister Justin Trudeau was intentionally collapsing his own economy.
After going through the evidence, weighing it against our own research, and looking closely at the political network of like-minded followers associating with PM Trudeau (mostly avowed Marxists), Montenegrino’s theory appears very solid:
MAGA Healing – Katie Arrington Visits President Trump in the White House…
On Tuesday June 12th, 2018, South Carolina MAGA congressional candidate Katie Arrington defeated incumbent Mark Sanford. On Friday night June 22nd, Mrs Arrington survived a deadly head-on collision in her vehicle; sustaining serious injuries and requiring multiple surgeries. On July 1st, Katie Arrington sent thanks and prayers from her hospital recovery room; on July 6th she was released from the Hospital.
Prayers answered. Approximately a month after surviving the deadly car crash, Katie Arrington is back on the campaign trail and meeting with President Trump in the White House. Awesome:
President Trump Calls Out: “Globalist Koch Brothers”…
Best.President.Ever.
Many people supported candidate Trump for his fierce economic policy independence and willingness to call out the political Decepticons. You can put CTH support near the top of that list. At the financial heart of the UniParty in Washington DC is President of the U.S. Chamber of Commerce, Tom Donohue, and his like-minded billionaire funders the Koch Brothers.
The U.S. CoC and Koch Brothers have a collective financial and political agenda that is antithetical to the U.S. Middle Class. They support open borders; lax immigration enforcement; common core educational standards; and healthcare programs that enhance their business portfolio. The GOPe wing of the UniParty is their influence-playground.
We knew there would come a time when President Donald Trump would firmly grip the reins of the Republican party and shake loose all of the Decepticons. Eventually, this Wall Street/Globalist usurping crew was going to need to be laid naked before their enemies.
Thank you President Trump !
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Canada Global Warming Tax up to $1,000 per Household?
Armstrong Economics Blog/The Hunt for Taxes
Re-Posted Jul 31, 2018 by Martin Armstrong
I have been warning that Global Warming is profitable for governments. They paid these academics $1 billion to come up with dire forecasts that ignore nature, cycles, and history, all to justify taxing people that will never actually impact anything nor balance their budgets. Canadian households in Alberta, Saskatchewan and Nova Scotia will be hit with more than $1,000 of carbon tax per year, while those in British Columbia, Quebec and Manitoba will pay around $650. In Canada, where it is often very cold, up to 10% of someone’s income is already going to cover energy costs. Politicians have discovered a new source of revenue and they are NOT about to listen to any evidence to the contrary. At the bug environmental conference in Paris, they outright DENIED any right of any speaker to put on a contrary view. This is all despite the fact that over 30,000 people have signed a petition against Global Warming, which has been ignored as usual. Any opposition is simply ignored or silenced. Why not, there is too much money on the table for governments to just ignore. Guess it will definitely now be cheaper to retire to the Caribbean. You won’t have to pay $1,000 a year to heat your home.
World Trade & Who Needs the Flash Cards?
Armstrong Economics Blog/World Trade
Re-Posted Jul 31, 2018 by Martin Armstrong
The Independent reported that an EU Official said that Juncker used ‘‘brightly coloured, simple flashcards” to explain trade to Trump during the meeting. The EU official said ‘each card had at most three figures about a specific topic. While these remarks are deeply offensive, what they really reveal is how much EU officials prefer to promote propaganda as well and create their own FAKE NEWS to distract people from reality. It has been Europe that delayed the TTIP deal and made it completely unworkable. What they are NOT explaining to people is that there is another MAJOR PROBLEM with the EU structure being exposed by trade negotiations and why Britain who run as fast away as possible.
All 28 EU countries have a common external tariff, which is collected by the national customs authorities. This is then paid into the EU budget. This tariff produces around €20 billion euros per year. Now enters the great disparity of economics. Germany produces 25%+ of that tariff – some €5 billion. It was true that the goal of the EU was to eliminate tariffs and champion free trade among member states as takes place in the USA. This is where we get this slogan of the “single market” for the more than 500 million EU citizens.
That all sounds very nice. The dirt is always found swept under the rug. Creating a “single market” was beneficial primarily for Germany who has an export-economic model. Germany’s car business is its lifeblood. It survives by selling cars to the world. So naturally, the euro was a dream come true for Germany. The euro and single-market eliminated FOREX risk for its customers and German producers which would result in more sales. That was a win-win for Germany, as the sales pitch went.
However, the creation of a single government has introduced a lot more problems that nobody bothered to consider. Germany clearly dominates the foreign trade of the EU. It exports to the world beyond the EU. Without Germany, the EU would flounder and be saddled with trade deficits. However, now we introduce the EU government. Suddenly, Germany cannot conclude its own trade treaties outside the EU. Everything must be negotiated by Brussels through the customs union.
Now we begin to look beyond mere currency. I have warned that one-size does not fit all as people had expected would emerge from creating a federalized EU. The second largest player in the EU is France. Because of crazy unions and socialism that has dominated France, the French are not the bastion of production and instead have a perpetual foreign trade deficit. Its socialistic policies have produced chronic protectionist policy that results in higher wages and higher costs of production that are simply uncompetitive even within the EU. Therefore, France is always at odds with Germany when it comes to trade deals for the EU.
In actual negotiations under the Obama Administration on the TTIP deal with the EU, the process dragged on from 2013 to 2017. Each of the 28 member states had their own protectionist issues. This delayed negotiations endlessly and it demonstrated that the EU structure really did not work. Each country wanted its own deal, but it had to negotiate collectively. So France could prevent Germany and likewise other members could block France. This is the reality of what President Trump walked into. The audacity that Juncker had to explain trade to Trump with flash cards was probably the most arrogant statement I have ever read from a government that is clueless. Trying to negotiate trade with the EU when its own 28 member states fight with each other is impossible. Already, Trump offered to eliminate all tariffs. Germany licked its lips. France said NO WAY!!!! Who needs the flashcards?
The only possible tactic that Trump could take to break this deadlock was to threaten wholesale tariffs. The Europe-wide tariffs were the only possible way to deal with the situation that probably still will not lead to some universal commitment to real free trade on either side of the Atlantic. It is Europe that is burdened with protectionism that has for decades put up a significant renaissance against free trade.
Trump’s favorite slogan, “America First,” has gained all the headlines and people PRESUME he is starting some protectionist war. In reality, there is NO free trade whatsoever and this issue of trade is like someone who punches you in the face, but the police charge you with assault for hitting the person in retaliation and ignores any evidence that they hit you first. TTIP was a complex mess and by no means would it actually create free trade. It was all about protectionism simply labeled free trade. The EU structure is hopeless. It wants to pretend it is a “single market” but it cannot negotiate any trade deal because it is 28 members who have to unanimously agree and that took 4 years to reach TTIP and a complete mess.
Of course, the media generally at large just like to bash Trump. Why bother explaining the real nightmare of tariffs and duties which are merely tariffs in sheep’s clothing.
Healthcare Reform
Armstrong Economics Blog/Corruption
Re-Posted Jul 31, 2018 by Martin Armstrong
QUESTION: Mr. Armstrong,
President Trump is claiming that he has come up with health care programs for employees that have lowered the cost below Obamacare. Do you think this is a true statement? Trump also claims he is coming up with even lower health care costs. Amazon, JPMorgan and Warren Buffet are creating healthcare services for their companies that will lower their company costs. Do you see that health care costs are being disrupted and will go down overall in the future?
Thank you for your comment.
ANSWER: Obamacare was done for the hospitals so they would not have to hand out free care to illegal aliens. The Clintons made student loans not dischargeable for banks. It just seems like the socialists can always ben bought. That is probably why the HATE Trump so much.
There is no question that healthcare costs can be reduced by 50% or more. They have risen far more than anyt5hing else in the economy. During the 1980s, we provided health care to employees and their entire family. The cost was perhaps $3,000 a year. It is nothing more than a giant money-laundering machine. My insurance doubled under Obamacare laws and my coverage declined. If we stop the corruption of buying politicians, we could actually be so much better off. This is one reason they are so intent upon getting rid of Trump. They do not like it when they dod not own the politicians. Trump says some things that are off-color, but at the same time, you at least know how he thinks. That is still better than someone who lies to your face and then stabs you in the back
Italy – the Coming Revolution & Euro Crisis for 2021?
Armstrong Economics Blog/Italy
Re-Posted Jul 31, 2018 by Martin Armstrong
QUESTION: Mr. Armstrong, you obviously have a database on Italy that is without comparison. Nobody else even had a chart on the Italian lira you recently published on the blog. I know you are well aware of the revolutions in Italy and the history. I was wondering do you have any forecast for the next revolution? It seems that the five-star movement may perhaps be the beginning. Any hint about the future?
VDM
ANSWER: Well to give you a target year where it can begin will be 2021. The Five-Star Movement is indeed the prelude. However, the attempt to stay in the Eurozone will be the undoing of Italy. The most threatening issue in Italy that will lead to revolution is most likely an attempt to raise inheritance taxes as being suggested by Brussels.
Culturally, Italy has the lowest inheritance tax in all of Europe. The German inheritance tax rates range from 17% to 50%, depending on your relationship to the decedent. In Italy, the Italian Inheritance Tax (Imposta sulle Successioni) is applied to all the assets worldwide belonging to the deceased if the person is a resident of Italy ONLY. If the person lives outside of Italy, then the tax is applied ONLY to assets in Italy. Where everyone else has generally inheritance taxes of 15% or higher for the immediate family, Italy that rate is just 4%. Here is the breakdown:
- 4% to be paid for transfers to the surviving spouse and children, with an exemption of Euro 1,000,000 for each beneficiary
- 6% to be paid for transfers to brother and sisters of the deceased, with an exemption of Euro 100,000 for each beneficiary
- 6% to be paid for transfers to relatives within the fourth degree of relationship to the Deceased, and other relatives on the spouse side up to the third degree (no exempt amount is available)
- 8% to be paid for transfers to any other (unrelated) parties.
So why do I say that inheritance taxes are the greatest threat to Italy? Rental income in Italy is extremely low. People have plowed their savings into real estate BECAUSE of the inheritance tax. Many have numerous properties and rental income just pays for the taxes and maintenance. If the inheritance tax is tripled, as Brussels suggests, what you will see in Italy is the biggest crash in real estate in modern history. This will be like taxing your bank account by 50%+. Many people use real estate, as they do in China, as their savings. In 2017, part of the very reason why the Five-Star Movement won was also the drastic imposition of property taxes in Italy. If it is your primary home, there was a 2% stamp duty to buy it. A second home was hit with a 9% stamp duty tax. However, if you say it is your primary residence to pay only the 2%, the government will check you for the first 5 years and if they determined you do not live there for the minimum 6 months, the penalty imposed will be 20% of the value of the property. Effectively, that is the imposition of a sales tax when you buy the home. You then have an annual property tax between 0.4% and 0.7% of a property’s fiscal value (valore catastale), the rate being decided by the local municipality according to a property’s size.
The tax reforms that have begun post-2016 are already creating political unrest. A change in the inheritance tax on top of the changes in 2017 to the property tax threatens to undermine the real estate market and that will come back and further bankrupt the banks. It is simply beyond the contemplation of how these people in power only look at their theories and are so desperate for taxes, they are blind to the consequences they are setting in motion.
Unfortunately, 2021 will be 3 waves of 51.6 years from when in 1866 Victor Emmanuel allied himself with Prussia in the Third Italian War of Independence. He eventually entered Rome on September 20th, 1870 and set up the new capital there on July 2nd, 1871. The next wave brings us to 1918 which is the final unification of Italy when the Terre irredenta joined the Kingdom of Italy. Going into the next wave is when you had the National Front (Fronte Nazionale, FN) form which was a neo-fascist political party in Italy during 1967. The peak of that wave was 1970, which marked the National Front’s failed coup attempt launched in December 1970, with the group disappearing soon afterward. This brings us to 2021 for the peak of the next wave. Each wave has brought political change so we are more likely to see a crisis unfold in Italy and this may lead to the crisis in the Euro
President Trump and Vice President Pence Participate in Swearing-In Ceremony for VA Secretary Robert Wilke…
President Trump delivers remarks at the swearing in ceremony for recently confirmed Veteran Affairs Secretary Robert Wilke. Prior to taking the official Oath of Office, both the president and the incoming secretary delivered words of great consequence. WATCH:
NAFTA Development – U.S. and Mexico Plan Ministerial Session Thursday in DC…
Apparently our CTH suspicions were correct; this is interesting. Canadian Foreign Minister Chrystia Freeland is scheduled to leave Canada on Tuesday for a meeting of ASEAN foreign ministers in Singapore…. Meanwhile U.S. Trade Representative Robert Lighthizer and a high-level Mexican team -consisting of both incoming AMLO and exiting Nieto delegations- will be meeting again to determine the details of a bilateral trade deal.
Mexican Economy Minster Ildefonso Guajardo is from the outgoing Pena Nieto administration and was part of the crew supporting the Canadian position; ie. the plan to continue exploiting the NAFTA loophole. However, Mexican president-elect Andres Manuel Lopez Obrador (AMLO) has selected Jesus Seade as his lead person for trade negotiations and appears more willing to engage in a bilateral trade deal with the U.S.
AMLO’s Jesus Seade, Minister Ildefonso Guajardo and Ambassador Robert Lighthizer are meeting again this Thursday to put the outline of a deal together; while Canada is sidelined from the discussion.
Flavio Volpe, president of the Automotive Parts Manufacturers’ Association in Canada, said: “I wouldn’t be surprised if the Americans and the Mexicans came to some resolution on that piece (autos) and then the Americans flip it back to Canada and say ‘Take it or leave it’.” That is exactly what CTH anticipated was going to happen.
Remember, with Canada joining the Trans Pacific Partnership (TPP), the issues of the NAFTA fatal flaw expand exponentially. The Association of Southeast Asian Nations (ASEAN) would now be able to exploit partner Canada as a gateway into the U.S. market. POTUS Trump is having nothing to do with that nonsense.
In the big picture AMLO wants to advance the Mexican manufacturing base; expand the aggregate economic base; and also stop the corporate exploitation of the Mexican farm worker. In these objectives U.S. President Trump is more than willing to be a partner with President Lopez Obrador. Heck, President Trump would actually love to assist AMLO on that agenda; it is mutually beneficial.
Diametrically, Justin from Canada has doubled-down on the retention of the fatal flaw and does not want an expanded domestic manufacturing base. The enviro-nuts of his base just will not support it and a carbon tax looms on the horizon.
As a consequence, Canada is loggerheads with the United States because Canada is demanding to retain their NAFTA access to the U.S. market, and simultaneously retain their ability to broker imported Chinese/ASEAN goods.
This means a trade deal with Mexico is possible; and a trade deal with Canada is almost impossible. So the U.S. has focused on negotiations with Mexico for terms of an ‘agreement in principle’, at an “unprecedented speed.” In this regard, according to U.S.T.R. Lighthizer, the U.S. and Mexico are very close to coming to that agreement. The U.S. team and Mexican team met last Thursday in Washington DC, and are now scheduled to meet this Thursday – again in DC.
(Reuters) […] There will be “technical meetings probably until Wednesday and a ministerial meeting on Thursday,” a Mexican source close to the talks told Reuters on Monday. A second Mexican source close to the talks also said a ministerial meeting was planned for Thursday. (link)
If the U.S. and Mexico come to an agreement, two key issues are resolved which puts even more leverage and pressure on Canada: First, the biggest downside concern for the U.S. agriculture sector would be belayed. Second, depending on the terms, the Mexican economy, financial and stock market would stabilize.
In this scenario Canada becomes increasingly isolated, and unfortunately, with the Canadian idiotic carbon tax scheme fast approaching, manufacturing companies will be heading to the exits.
The terms are unknown and the strategy is still tenuous, however the U.S. and Mexico appear to be closing in on an agreement. Together the U.S. and Mexico likely then present a take-it-or-leave-it opportunity for Canada to join; either way, NAFTA is essentially dead and Canada really doesn’t have options.
Justin from Canada and Princess Rainbow Sparkles Freeland have really screwed up in this process. They have allowed themselves to be blinded by pure political anti-Trumpism while pragmatic business and economic interests of the U.S. and Mexico have moved forward.
If things go as they appear to be heading…. Politically, President Trump explains why NAFTA is dead; the U.S. and Mexico immediately unveil the framework of the joint bilateral trade agreement; AMLO and Trump have political cover, a partnership is immediate; and U.S./Mexican business interests move forward with changes to Mexican manufacturing/assembly as way-points. The Mexican NAFTA back-door closes over an agreed upon period of time.
Smart play.
P.S. … put this in the ‘out there’, but possible because Trump file: We might see an announcement this Friday about an agreement in principle between the U.S. a
Centinel2012 